CHAPTER TWO
LITERATURE REVIEW
Introduction
For this section and chapter, most importantly, the authors subject an overview of the academic works’ reviews. From the analysis, it is now much more comfortable to discuss employee commitment to organizational performance based on the theories founded and researched. The authors also give content on the stages involved in organizational commitment, the components commitment models, the reasons and elements that influence employee and organizational commitment founded, and the various types of commitment. Conception and notion of the individual effort and performance and the correlation between organizational commitment and the performance on an individual basis. The subsection includes academic literature review, pragmatic and empirical literature review, research gap, and conceptual context.
Overview
In the modern era, people have developed an interest. They are more committed to doing a study based on employees’ commitment to organizational performance, which has proved to be beneficial and essential on theory based on organization and practices of management. Many theories on the organizational commitment directly correlate to the characteristics shown by an employee such as education, gender, age, achieve and needs for an achievement and office terms, which give a clear indication and reflection that the committed employees perform better as compared to non-committed employees. The effects of globalization, demands of the current market, and demands of the customers make the commitment to an organization a more critical and essential initiative and innovativeness. The immediate growth of organizational commitment has been a significant concern, and most organizations are looking to explore this loophole in the current competitive world to meet the demands of the trends of the market, thus gain its relevancy, and also due to pressure mounting, it is a better initiative to adopt. Employee commitment cannot go unnoticed and needs to be looked at in-depth and broadly to ensure the desired outcome and attain sustainable production. Human resource experts are apprehensive about the improvement and advancement of employee commitment or rather organizational commitment. Employee commitment has become a fundamental topic for research in the category of human resources.
Theoretical Literature Review
The section offers theories applicable and appropriate to the study. The section is further divided into three philosophies: motivation theory based on expectancy, Labor theory, and the Equity theory of Adams.
Theory of motivation based on expectancy
The theory gives a detailed explanation of why employees or individuals prefer one option on behaviour to others. The central notion behind the theory is that individuals will be focused and ambitious because they are confident the decision they arrived upon will provide a path for the desired ambitions and outcomes. The theory suggests that motivation for work is reliant on the apparent interconnection between presentation and results, and employees alter and adjust their behaviour founded on the scheming of the predicted outcomes. It has a practical aspect and positive incentive for motivation improvement because it has helped help leaders in the creation of motivational sessions in their organizations. The theory is founded on the concept of motivation coming from an individual who believes they will capture their necessities based on rewards and performance levels. Motivation provides a map that attains the minimization of effort applied by the employee and attains maximum pleasure. Motivation sparks commitment and makes the employees excited to work within the organization, and this often benefits the organization since the performance is improved and increased. Motivation develops the trust of the employees in the organization and their respective employers and even makes the employees perform much better.
The theory is not inclusive of all aspects behind motivation factors on an individual foundation. Still, on the other hand, it has proven to beneficial for the leaders of the organization to establish and coordinate a detailed understanding of ways or methods that can be adopted to motivate the employees. The theory puts its emphasis on the perception of individuals to the environment and the consequence of individual expectations due to the interactions made daily between different individuals within the organization. Different individuals have different ambitions and goals that drive them entirely to achieve success, and the goals give an individual motivation and sole purpose to keep on thriving. It shows that there is a positive correlation between performance and efforts. Wanted performance usually attracts rewards that would have been essential in satisfying a significant want.
The labour theory of value
The commodity’s value is entirely connected and linked to the labour that is required to ensure the commodity is produced, and the other factors involved in production are neglected. With an overview of the labour theory of value, it can be defined as the total labour required to ensure sustainable production of the required commodity, thus ensuring the loophole is exploited, demands of the consumers who are regarded to be significant stakeholders. The organization stays relevant because it can meet the demands of the current trends present in the market. Labour is an essential asset for the organization, and the more committed the task force is, the easier it is to attain the achievement of production. A more coordinated labour force is more creative, thus comes up with fresh and innovative ideas that could help attain a consensus solution that can be used in the advancement of the product or commodity. Karl Marx and his counterpart tried to compute, measure and enumerate and exemplify the components of labour that will enable them to set the accurate and exact price of a commodity. The actual price was not based on the labour offered in the past, or neither did it involve the labour creation of tools that may be used in the sustainable production of the commodity required in the market. The smith theory argued the same with the labour and utility theory, and Smith argued that the worth and price of a commodity is worth the labour have put in to ensure that this is attainable. The value of the commodity is a subject of the rule of demand and supply at a given time.
Equity Theory of Adam
The theory was established in 962 by Stacey Adams. The theory did attempt to expound and illuminate the satisfaction that has the derivation from equality and fairness that the employer tries to offer to their employees. The theory bases its argument on the fair treatment value, which is regarded as a significant motivating factor in the places of work and boost commitment levels among the employees. An employee or an individual working within an organization feels that the treatment is fair if the input ratio to the outcomes is equal to the ratio of the people surrounding him or her. For such a case, it is much acceptable for an individual working within the organization with a high level and vast experience about the job. It is also a senior colleague to receive a massive incentive for the job conducted. However, the moment an employee comes to terms that another employee within the organization with equal qualifications and the labour offered is the same in the amount of effort placed to attain sustainable production earns more in terms of compensation and recognized the individual positively feels unfair treatment. Thus this affects the performance level put to work. It brings the idea of job satisfaction and employee commitment. Assessment of employee commitment is crucial to the well-coordinated and running of the organization to ensure the desired outcome is achieved, and sustainable production is enhanced. The success of the organization is credited to the commitment levels portrayed by individuals working within an organization. High commitment levels ensure high production and achievement of success. Because of this, the labour turnover is reduced, and cases of absenteeism are lowered to the required standards or curbed by every means. Low commitment levels lead to the rise of labour turnover and high cases of absenteeism, thus hindering the company in attaining to the demands of the current market trends, and this could render it irrelevant. An over-compensated employee and highly recognized within the organization puts a lot of effort to ensure the company’s goals are attained. However, perceptions of the mind of an individual can change, and the inputs by such individual are affected or lowered due to the sense of superiority that clouds the mind of such individuals and instead of delivering the efforts, the person loses sights of his or her roles and veers off from the proper course of the organization. It, therefore, decreases the effort shown by the employee. The equity theory of Adam creates awareness and retells that individuals in the organization are concerned hugely about how they are handled within the organization and the surrounding environment. The reason above explains why proper management, control, and fair treatment should be granted to the individuals working within the organization. Job satisfaction is evident in the happiness of the employees in their places of work, high levels of commitment and devotion, and how the environment impacts them loving their job. Job satisfaction is a crucial piece of information that can be useful in helping an individual understand the level of satisfaction an employee develops towards an organization. Behaviour is an essential tool and influences the performance of an organization. When employees have high job satisfaction, then the level of commitment is heightened to the levels required, thus ensuring that the production or the business the company indulges in is fruitful and can meet the demands of the current trends present in the market and demands of the consumers who are regarded to be the major stakeholders in the business.
Empirical literature review
The perception of employee organizational commitment
The concept and perception behind employee commitment to organizational performance have recognized enormous attention and concern among many researchers over recent times. Employee commitment, or in other words, organizational commitment, is defined as affection and connection that the employee develops towards an organization from the working process’s experiences. It is indicated by satisfaction and devotion levels among the employees within the organization. The process is considered a two-way process or a mutual interdependence between the employee and the organization. Assessment of employee commitment is crucial to the organization’s well-coordinated and running to ensure the desired outcome is achieved, and sustainable production is enhanced. The success of the organization is credited to the commitment levels portrayed by individuals working within an organization. According to Porter et al., they had defined employee and organization commitment as the extent and expanse of the emotion and feelings that an individual has towards an organization, and the feeling must be mutual to ensure that the desired outcome is attainable and sustainable production is achieved. According to Reichers, he made his argument that organizational commitment refers to the level of commitment of an employee towards the organization, and this could be measured by the level of involvement and effort shown by the employee within the organization. According to Kohli and Jaworski, they found out that the committed employees have a better understanding of each other hence they corporate with each other within the organization to ensure the corporation achieves its targets and meets the demands of the current market, thus making it relevant. There have been different arguments that differed with other opinions on organizational commitment, and one example is Becker argued that organizational commitment is a theory of side-bet. Porter et al. established that organizational commitment is known as the theory of exchange. Becker centred his argument on employees being committed to the organization due to the pressures of life and the economy; thus, it is against their wish to leave the organization, and this makes them committed for looking out for themselves rather than looking out for the achievement of the common goal established by the organization. Becker further supported his argument on the basis that the correlation that exists between organizational commitment and the cost of the decision to quit the job and this means that the employees are rooted to work in the organization more due to the increase in the cost of leaving and the decision to quit an organization becomes even more difficult for the individuals working within the organization. Porter et al. theory contradicts the opinion based on Becker’s theory, and they argue that the employees often want to stay more and give their best in the organization because the employees have a belief in the mission, standards, goals, and visions sets by the organization, therefore. After all, they believe in the true course of the organization, the employees develop a strong desire towards the organization, and they work to their level best to ensure they attain the goals set by the organization. It develops a feeling in them that they are the essential resource available within the organization to realize the desired outcome, and this leads to an increase in the sense of belonging in the organization. The Porter et al. theory received support from Bansal, Mendelson, and Sharma, and they concurred with the opinion fully. They measured the commitment of employees within the organization concerning the outcomes and goals attained by the employees; therefore, it meant that if the individuals are committed to the course of the organization, then they should have a devotion to ensuring the company realizes its mission, objectives, and goals. Darwish contradicted the opinion as he had a view that the level of devotion and commitment is measured on the employees on how they have incorporated the change that is imminent within the organization, and change is inevitable. The faster you are to react to it, the easier it becomes for the attainment of the vision and mission goals. Herold et al. concurred with Darwish’s opinion. They also made an argument that organizational commitment is the em, employees’ attitude after the incorporated changes have taken place in the organization and to be concise, they meant the acceptance level of change which is inevitable and whether the employees are for the idea of change that happens within the organization over. According to this perception, it is clear and evident that commitment levels shown by the employee are regarded as the most essential and substantial factor and aspect that the organizations require whenever they want to amend and incorporate changes within the organization. According to Fu and Deshpande, they did not concur with the opinion made by the researcher above, and they argued that commitment is not a measure of acceptance level of changes but rather a measure of identification levels of employees within an organization. Research conducted by Suparjo and Darmanto found out that commitment is the belief of the employee to the organizational values. Kim defined organizational commitment as the correlation the employees establish with the organization during the tenure of their stay or work. Research by Vakola and Nikolaou reasoned that when a person opts to work or enter into an organization, they have levels of expectations of their requirements, and the moment these expectations are met and provided, the individual with such requirements will be committed to seeing the organization attain the desired goals and outcome. They further defined commitment in three different phases. The first phase is the recognition and approval of the goals, values, mission, and standards of the organization; the second phase is the yearning, plea, and aspiration of the individuals within the organization to work to their best level s to achieve sustainable production and goals of the organization and the third phase which is the last one is the strong feeling of devotion to be an individual who believes strongly in the organizations and its course. Akram et al. debated that commitment is the employees’ attitude in the organization, and several aspects and factors can be used to measure it.
Organizational and employee commitment stages
Researchers have debated heavily on the organizational commitment to have three stages. The reason behind employee commitment is different according to the different stages. The stages are:
Exchange state
Exchange or compliance stage or step is the point where the individual or the employee gives the performances that match the organization standards. For this stage, the employee does not believe in the right course of the organization but instead based on attaining an incentive in the form of a promotion, reward on salary increment. In this case, the only thing that lures the commitment levels is rewards. It is a more selfish approach by an employee.
Recognition Stage
Recognition or identification phase is given a close relation to the sense of belonging within the organization. For this case, a healthy relationship is founded, and this makes one happy to recognize himself or herself as part of the organization. According to Stinglhamber et al., they mentioned in their findings that most researchers debated that the organization is, first and foremost, the significant place that gives the individual a sense of identity and belonging. In their research, they established that there is a positive correlation between the identification or recognition stage of an organization and commitment affection levels; therefore, the commitment by an employee is distinguished in the identification stage as compared to the compliance stage, and in this stage, the employees have a strong affection and devotion to help the organization achieve the set targets, and this is majorly credited to the sense of belonging the employee develops towards the organization, and this often gives an individual a reason and purpose to stay within the organization and continue to offer their level best. Committed fellows are more creative, and because of the sense of belonging developed, the employees develop fresh and innovative ideas to help solve solutions and find amicable ways to attain upward and forward trajectory in the attainment of the set goals.
Internalization stage
The stage is defined as the stage that tries to match the employees’ belief and value and their respective organization, and that is according to Chatman and O Reilly. In their works, they established that this stage is the final phase of commitment. In this stage, the employees are more devoted and focused on staying within the organization since they share a common consensus, which is the same values that align with one’s sets by the organization.
It is evident that these stages are different from one another. As seen in the first phase, the entire motive is the attainment of rewards, which is regarded as selfish. After some time within the organization, the employees now feel they want to continue working within the organization, and this is because of the sense of belonging and responsibility that is awarded to them. Every employee feels that is the right place to be and desires to continue delivering the best and only the best. Finally, the employees now want to stay committed to the organization; this is because their common goals, values, and thoughts align with one set by the company; hence this even gives them a better reason to continue offering what they feel is the best to attain the desired outcome and sustainable production.
Commitment model components
The topic on employee and organizational topics has formed the basis for most scholars and researchers who are determined to get to the bottom of it. Theories of organizational and employee commitment have been put to study over a long period. Nonetheless, the lack of amicable thoughts and consensus on the definition that would suit the term has made it a tough nut to crack since it cannot only be based on measures of commitment. Academic scholars have not lost hope, and they keep on waiting on a model that could act as a reference where future research could be founded. All the research conducted on organizational commitment definition, it is evident some similarities include the attachment towards the organization, perception, and notions on the leaving cost if one opts to leave the organization and the responsibilities and compulsions if one opts to remain put within the organization. Based on the research conducted by the scholars, it is evident that they have based their assumptions that commitment is coordination and alignment towards the company. They even further think and assume that it has a direct relationship with the sense of belonging and identity within an organization, attitude, and affection towards the organization and goals aligned to their course and goals. Other researchers assume that commitments for a lifetime are an interpretation of loyalty and devotion to the organization. Others have linked the continued commitment to the participation to obtain profits or related costs as a result of living. From the three common assumptions made on the commitment of an employee towards an organization, then it can be deduced and inferred as a sentimental, constant, and normative obligation. The three different aspects portray a state of psychology that has an impact on the correlation among the organization and its employees and the ability to retain the members of the organization.
Sentimental commitment/ affective commitment
Monday et al. found out that sentimental commitment or, in other words, affective commitment comprises of four categories, and that is personal traits, operational traits, employment-related traits, and the experience of the employment. From the analysis of the personal traits, employees are enthusiastic and eager to pledge promises based on the many different reasons that often seem to drive them. The environment plays a significant role in commitment levels shown by the individuals. Therefore, it is better when the personal traits amalgamate with the personal characters with the surroundings, and for this case, the employee becomes very active and vice versa. The operational traits have a direct relationship with the commitment levels of an employee. The employee roles are associated and linked to the structure of the organization. For this case, the structure of the organization has an indirect effect on the feelings of the employee that, in turn, affects the sentimental or affective commitment by the employee. The employment-related traits are also an influence that affects the commitment levels shown by an individual towards an organization. The support given by the organization to its employee is substantially vital, and this could be in the form of morale-boosting support from colleagues and supervisors. The ease of access to the resources related to the employment sector affects the performance and commitment levels of the employee. A committed employee has been influenced strongly by the support the organization offers, and the process is a two-way perception. The result is that the employee offers a hand in return to the organization, thus achieving the set targets and goals. Friendliness and a more cooperative environment experienced between an employee and the colleagues in the organization influence commitment levels, and this ensures the employee is highly committed to the attainment of the plan, and this places the goals and objectives within reach. Resources are essential in the employment sector, and in the features and traits related to employment and the ease of access, the resources influence how the employee portrays the level of commitments. The resources made available at worksites include space, computer usage, and support from the administration, and photocopying and printing amenities.
The ease of access of resources makes it easier for the employee to stay committed since the resources ensure the job is mandated to be done are completed in due course, and they also improve the efficiency of the employee. Affective commitment establishment encompasses internalization and identification. Identification is based on the establishment the company puts it into practice to attain a reward system for the employees working within the organization. The identification, in turn, brings about the job security and satisfaction that ensures the employees are committed to ensuring sustainable growth and production by the company. Internalization is the goals and values put into practice by the organization and individuals. For this case, if the organization shares the same internalization with the employees, then the employees develop a sense of belonging, and they believe entirely in the goals set by the organization to be realized. It, therefore, increases the commitment levels shown to ensure the company attains the desired outcome, attains sustainable production, and it is still able to retain relevancy in the market by meeting the demands of the trends in the market that always has been a tough nut to crack.
Perpetuation commitment/ Continuance commitment
Perpetuation commitment, also known as continuance commitment, are the necessities of the employee’s devotion towards the organization. The commitments are founded on incentives. The commitment on a continuance to the response of the perception made by an individual on the leaving costs on the organization and anything that leads to increase of cost can be regarded as a precondition for perpetuation commitment, individuals who devote their services for a long period within an organization are normally granted benefits. It the ease of accessing such incentives becomes even easier. In a nutshell, the more an individual works within an organization, the easier it becomes to attainment the incentives that the organization provides. Skills are also attained during the service, and even personal contact is made with the seniors of the organization. Research conducted by Baker shows that continuance commitment is contributed by service length and age. Young employees often tend to leave the organization due to a lack of adequate experience in the field of work. For this case, the leaving cost is lower for the organization as compared to the older employees with vast experience in the field of employment. Additionally, perpetuation commitment is affected by the size of the investments made by the organization. An increase in the size and number of investments made by an organization other alternatives appeal and attractiveness will notice a decrease in the current market; therefore, the attraction of the investments made by the company attracts the employees, and because of this, the commitment levels are heightened to the required level to ensure attainment of the desired outcome. Most importantly, job satisfaction has become a top priority for most employees, and it affects the commitment levels. Job satisfaction is evident in the employees’ happiness in their places of work, high levels of commitment and devotion, and how the environment impacts them loving their job. Job satisfaction is a crucial piece of information that can help an individual understand the level of satisfaction an employee develops towards an organization. Behaviour is an essential tool and influences the performance of an organization (Andrew, 2017). When employees have high job satisfaction, then the level of commitment is heightened to the levels required, thus ensuring that the production or the business the company indulges in is fruitful and can meet the demands of the current trends present in the market and needs of the consumers who are regarded to be the major stakeholders in the business. Assets readily available to the company are protected once the job satisfaction of the employee is met. Absenteeism and high labour turnover are shown by the job’s low satisfaction that often lowers the commitment levels and ensures that the desired goal is not attainable. Most cases of less job satisfaction have posted the company’s bad reputation to the outsiders, thus subjecting the organization to lots of scrutinies hindering its involvement in the business. Productivity is a result of job satisfaction, and because of this, companies have had a breakthrough in most of its projects. In a nutshell, the more an employee is contented with the workplace, it means the employee departure cost is heightened and thus prompting the employee to work to attain the betterment of the organization. The strength of commitment on continuance, which in other words means to stay within an organization, is measured by the leaving costs incurred by the individual by opting to quit the organization. it indicates that continuance commitment is strongest when the available alternatives are scarce and hard to come by, and the investment numbers are high. The argument is for the idea that when an individual comes by better and developed alternatives, the employees opt to quit the organization to attain greener pastures offered by the alternative approach. According to Mayor et al. argues that the investment levels and low employment options tend to force employees to maintain their desire and action line and to garner responsibility for the employees committed to the course of the organization. Therefore the implication shown is that individuals often stay to the course of the organization are lured greatly by the level of investment, which at times is lost. The need to stay is regarded as profit, which is shown by the participation and cost is associated with termination or leaving of the organization. Tetrick concurs with this perception of profit and describes the concept as a mutual and exchange structure. For this case, the level of commitment, performance, and devotion to the course are presented back in the form of incentives, compensation, rewards, and recognition and job security. That is to say, for any organization to retain its employees highly than it has to adopt a procedure and technique to ensure the employees are recognized and provided with rewards. in turn, will make the level of commitment by employees to heighten, and this is a morale-boosting approach that develops a win-win situation as all aspects are covered; thus, sustainable production is attained.
Normative commitment
Less research has been done on normative commitment, but it is defined as the interconnection and relationship between the organization and the employee. According to Wiener (1982) is confident that the concept of normative commitment is shown by the efforts put in place by the organization to provide benefits and rewards to the employees. Pressure forms a basis in our lives, and the recent economic times have mounted pressure on most employees. When employees can receive incentives from the organization, then the individuals will be more enthusiastic, eager, and prepared to create normative commitments. According to Meyer and Allen, they defined normative commitment as a feeling of devotion and mandate to continue offering the services in the form of employment. The feeling makes an individual be obliged to sustain the membership of the organization. Individuals with normative commitment have a feeling that they should remain working within the organization, and for this case, employees opt to stay because they feel they have to do so. Normative commitment is guided by the individual’s sense of responsibility, belonging, and loyalty towards the corporation. In this case, the commitment shown by organizational members is founded on moral reasons, and those individuals within the organization believe it is morally upright to stay within the organization. The decision is made regardless of the enhancement of the status, and the satisfaction offers in return.
Factors that influence organizational commitment founded on the types of commitment
Many researchers have discussed the effect of the level of commitment an employee possesses on organizational performance. According to the works of Meyer and Allen, they believe that the more robust relationship between the commitment level by an individual and organizational performance exists in the personal will, drive, and desire shown by an employee during their performance. Hersey and Blanchard gave a detailed discussion on the numerous factors that influence organizational commitment that is founded and grounded on commitment towards the employment, personal self, organization, and the consumers who are regarded as the primary stakeholder. The arguments are as follows:
Commitment towards occupation
In this case, normative commitment forms the basis of discussion since it is the interconnection between the organization and the employees. Bergman (2006) and Wiener(1982) concurred on the issue of normative commitment is that for this case, the organization has adopted a policy and technique to ensure they provide incentives to their employees. Pressure mounts from every corner in life, and pressure is susceptible, and hence employees opt to find ways to help curb the mounting pressure. When employees can receive incentives from the organization, then the individuals will be more enthusiastic, eager, and prepared to create normative commitments. According to Meyer and Allen, they defined normative commitment as a feeling of devotion and mandate to continue offering the services in the form of employment. The feeling makes an individual be obliged to sustain the membership of the organization. Individuals with normative commitment have a feeling that they should remain working within the organization, and for this case, employees opt to stay because they feel they have to do so. Normative commitment is guided by the individual’s sense of responsibility, belonging, and loyalty towards the corporation. After decades of research, some researchers now have a belief that normative commitment gives an implication that there is a mutual benefit between the organization and the employees. The satisfaction of the employee towards the organization is an important piece used to evaluate work. It has always been regarded as an essential issue to be addressed by the organization to ensure sustainable production. Job satisfaction is evident in the happiness of the employees in their places of work, high levels of commitment and devotion, and how the environment impacts them loving their job. Job satisfaction is a crucial piece of information that can be useful in helping an individual understand the level of satisfaction an employee develops towards an organization. Behaviour is an essential tool and influences the performance of an organization. When employees have high job satisfaction, then the level of commitment is heightened to the levels required, thus ensuring that the production or the business the company indulges in is fruitful and can meet the demands of the current trends present in the market and demands of the consumers who are regarded to be the major stakeholders in the business. Assets readily available to the company are protected once the job satisfaction of the employee is met. Absenteeism and high labour turnover are shown by poor satisfaction of the job that often lowers the commitment levels and ensures that the desired goal is not attainable. Employee satisfaction was defined as the feeling the employee develops towards the job ( Peng et al. 2014) (Bhatti and Quereshi 2007). Nonetheless, only a few organizations have considered employee and job satisfaction a top plan. Organizations are hiding from the fact that employees opt to work in places that are more productive and creative. In this case, when individuals within the organization develop a sense that the employer is pleased with the efforts they are putting in the work, it gives the employees an urge to even further commit to the job to realize sustainable production and attain the desired outcome. Happiness by the employees should be considered first since the employees devote their time and work to ensure that the set goals are realizable. If that can be put into consideration, then the achievement of the set goals is within reach, and this will ensure the Nigerian Breweries limited makes a profit, which is normally the main reason for the formation of most businesses. Research conducted by Rosenberg, Ferlie, and Mosadeghard revealed there is a connection between commitment to the organization, job satisfaction, and turnover ratio, which is measured by absenteeism. They debated that employees who are satisfied with their places of work offer more in terms of production and develop a devotion to offering their services for long periods, and this, in turn, affects the turnover ratio. Committed employees are more creative and productive. They bring fresh and innovative ideas to help solve issues affecting the organization and also help the company with the ideas that can be adopted to ensure sustainable production. Non-committed employees often have the desire to leave the organization the moment an alternative arises due to a lack of job satisfaction. According to Dorgan, commitment is an advanced serviceable and functioning and effective performance inclusion of quality as the main commodity and leading principal. Research conducted by Lambert, there was an examination of shreds of evidence and details of a positive coexistence between job performance and commitment to organizational goals and purposes. Minimal or low commitment has a direct association with low morale levels. The less committed employees often depict the organization to lots of scrutinies, thus creating a bad image to the population. it, therefore, hinders and offers a stumbling block in the recruitment process of highly skilled employees and also results in decreased measures of self-sacrifice and compliance among many that are related to the organization. Low commitment often subjects the organization to a high level of absenteeism, thus a rise in the turnover. Organizations and institutions benefit from the commitment of the employee, and this is evident with increased and improved performance evident in the production level. Reduced cases of absenteeism which is normally regarded as a limiting factor in production and often results in a less efficient organization that often is prompted to collapse. A high level of commitment shown by an employee to an organization gives the provision of a more secure and stable working force, and this provides the company with a competitive edge and advantage against its competitors. Committed employees have often been found to be more innovative and creative. Thus they aid an organization in coming up with a better solution or give provision of various approaches that can be enacted to ensure the desired outcome is within reach, and this makes them less likely to opt-out of the organization as compared to those who are less committed. For a sustainable level of productivity improvement, human capital and social capital have been regarded. Human capital, which entails the skills and knowledge, and attitude present in the employee, and social capital does entail the trust, communication, confidence, partnership present in an individual. Commitment levels are tested during turbulent and tough economic times; therefore, employees who opt to remain during such moments are regarded to be committed. Every employee would want to form part and parcel of an organization that provides a good income with better incentives, good job security that has been constituted and covered under a contract. also provides an opportunity for development which ensures they are covered at all cost and protected from external pressures that hinder development.
Commitment towards the organization
In wide research conducted on commitment levels by the employee, some of the authors and researchers trust that the commitment made by the employees is possible due to the recognition that the employee awards them. Because of the high recognition, voluntary commitment is heightened by the employees; thus, it is easier for them to give their best and to continue to offer their services. Employee motivation and satisfaction contribute adversely to the commitment levels; therefore, the employees need to be recognized, awarded for the good job they do, and as a result. the performance level will surge due to the commitment levels that will be portrayed by every employee within the organization. A high level of devotion and commitment benefits the company through improved performances, productivity is bettered by the labour, and better service and quality are also attained. Once an organization recognizes the employees, this can beneficial for the employees to understand the experience, organize their inventions and innovations, and improve their strategies, and this enables them to achieve the ultimate sense of achievement. Research conducted by Wan-Huggins et al. identified by the organization is related with the sole intention to stay put and deliver their best for the organization. Correspondingly employment satisfaction creates a positive environment in the organization, and thus the employees look committed to attaining the course of the organization. Sustainable production should be considered at first hand, and therefore employees should be regarded highly to achieve this. According to Papa et al. indicated and established the development of a human is followed by effective communication; thus, it means the organization orients the employees into the corporation, and the result is that the employees will be more than willing to work to ensure an attainable result and desired outcome. A team united shall never be defeated common say, and therefore when the team works efficiently together, a person recognizes the mounting pressure. The pressure, therefore, increases the period of employees to blend and work efficiently together. Personal identity attracts the caution and attention of an individual to a complicated process. It thus exposes the members to the organization, and therefore they become more attracted and obliged to work for the organization. A developing organization has committed members who are willing to work for the true course, and this is because of the recognition the organization awards them. Research by Daigle further reveals most managements have been subjected to lots of pressure to ensure there is the creation of a friendlier environment to suit the employees. therefore they do not feel compelled to work but rather have a mandate and obligation to ensure all their efforts are channelled towards the achievement of a major objective. For this case could be the demands posted by the consumers that have been significant issues in the competitive world (Daigle and Morris 2009) It shows that there is a direct correlation between job satisfaction of the employee and the employees’ performance. In a nutshell, if the employee is satisfied by the job credentials, then the performance level is enhanced to high levels. Therefore, when an employee’s commitment level is high, there will be reported minimal turnover, and the performance level will be bettered with a few cases of recorded absenteeism. Employee loyalty and commitment are influenced by factors such as the load of work the employee is subjected. Less recognition and acknowledgment of the work the employee does and few or no compensation. According to Dorgan, commitment is an advanced serviceable and functioning and effective performance inclusion of quality as the main commodity and leading principal. Research conducted by Lambert, there was an examination of pieces of evidence and details of a positive coexistence between job performance and commitment to organizational goals and purposes. The minimal or low commitment has a direct association with low morale levels. The less committed employees often depict the organization to lots of scrutinies, thus creating a bad image to the population, and this, therefore. It hinders and offers a stumbling block in the recruitment process of highly skilled employees and also results in decreased measures of self-sacrifice and compliance among many that are related to the organization. Low commitment often subjects the organization to a high absenteeism level, thus a rise in the turnover. For a high level of commitment, the performance of the company is heightened to the desired levels. Additionally, job security and assurance enhance an increased level of commitment since it provides the employee with a sense of belonging. Therefore the committed employees normally have a low probability of quitting their jobs. Therefore, employees committed to the organization have a higher tendency to remain and serve the company and are also more likely to give their maximum to ensure the organization attains its desired success, goals, and sustainable project.
Commitment to the stakeholders
Many theories have been developed to look keenly at the behaviour of individuals working within the organization. The theories on stakeholders show that the organization should analyze critical factors and issues of interest, which will, in turn, affect the commitment of the stakeholders towards the organization. Different stakeholders offer different capabilities, and this shows their different importance to the employees, and therefore the commitment of the employee to the organization is affected by the varying capabilities. Different groups of stakeholders create a different brand of the organization, which affects whether the employees are willing to be committed to achieving the desired outcome and also affects whether the employees are willing to be committed to the job. A good example can be a salesperson who has established a good relationship with the customer. For this case, the employees are obliged to continue working for the organization, and the supplier relationship affects the brand of the organization. A right image depicted by the supplier ensures the consumer keeps preferring the organization over the other competitors.
Commitment to personal self
Buchanan( 1974) commitment and devotion establish an exchange interconnection between the individual and the organization. Therefore the employees will hold themselves to the organization with a notion of a two-way process, return for return, and this, therefore, develops a win-win situation between the two parties. When change is incorporated, the organization’s direction change affects the commitment levels shown by the employee. Change is inevitable, and the employees are always willing to incorporate change whenever need be and make devotion and obligation to the organization. The interest set up by the organization contradicts personal interest. Therefore the employees will opt to give up on their commitment whenever they feel their interests are being infringed. Often and in most cases, employees or individuals seek job opportunities to find a conducive job environment that meets the demand of needs and wants of theirs at a personal level and also meets the needs of work or job. The moment an organization meets the precise and particular needs of the employees and expectations, it, therefore, increases the commitment levels to the required standards to ensure the attainment of the desired outcome and goals. Commitment does not incorporate the notion of exploitations of individuals. Still, instead, it means the acceptance of the employees to the organization’s values, goals. Therefore it means they both read from the same page and book, and therefore, one volunteer to work within the organization and desires to be part of the forward trajectory that the company incorporates. Whenever an organization meets the needs of the employees, it attracts the vast majority to be part of it, and this can only be compensated by the commitment levels put into ensuring sustainable production is achieved ( Vakola and Nikolaou 2005). Research by Whitener (2001) argues that human resource management is mandated with the responsibility to ensure the demands and needs of the employees are met. Practices conducted by human resource management include compensation, promotion, rewarding, an appraisal on development and the training programs that play an essential role in ensuring the level of commitment and motivation are achieved. The moment the employees feel and develop a sense of recognition and belonging their urge and motive to stay within the organization increases. Therefore it creates commitment and a sense of belonging. Less recognition often prompts the idea of individuals opting to leave the organization since one lacks a sense of belonging, and this diminishes the sense of responsibility as they are no reason to keep pushing to attain the required goal.
Commitment towards people
Different aspects of interpersonal contact between an employee and the colleagues are positive. for this case, it indicates that the personal and environmental factors of the employees are in a positive condition. Therefore this makes the employees have the urge to be committed to the organization. It such a commitment that is regarded as the commitment towards individuals ( Leiter and Maslach 1988). The personal factors that affect the commitment levels of the employee include sex, age, and level of education. According to the research conducted by Al-Ajmi (2006), the study was conducted on 436 individuals working within five different organizations. the study was mainly conducted to test if there could be different commitment levels between the gender; however, the result showed there is no difference in commitment levels founded on gender. The research conducted by Khalili and Asmawi( 2012) depicted that the difference in commitment levels based on gender can be grounded on normative commitment. From their study, they found out that males have a low normative commitment as compared to females. The age of the individuals within an organization is an essential piece that has a direct effect on commitment. A study conducted by Finegold, Mohrman, and Spreitzer( 2002) was to explore the relationship that exists between the age of the employees and the level of commitment. The research involved approximately three thousand personnel from different six organization and the results they established that the need and urge to stay within an organization for employees in the range of 31-45 and above 45 is more as compared to those individuals aged below 30. Educational level effect on a commitment to the organization has recognized different opinions. Findings by Ramirez, Manriquez, and Guerra( 2010) debated that the level of education of individuals within the organization increases, and for this case, it, in turn, affects the commitment as it decreases. Their examination established employees with low education often tend to stay within an organization, and this shows the extent of the commitment. Furthermore, factors on the environment affect organizational commitment. The first factor in the environment is communication. Research by Leiter and Maslach (1998) extreme communication at the interpersonal level develops a change of the employee’s emotion. It causes extreme expansion on emotion, and it eventually results in a decrease of individual achievement and job burnout decline. Several studies reveal that environmental influences are a direct reason for occupation burnout. Contacts made between the employees and the colleagues or customers lead to a change of moods. Excess exposure is the main root of all problems, foiling, and conflicts, and these negative influences are the principal influence on job burnout. When negative moods are developed, and incorporated employees are more reluctant to make devotion and stay focused on the work. Still, it rather creates panic and the feeling of escaping the job environment of sources of negative emotion and bad perception more rapidly. According to De Ridder (2004), good communication gives the employees the ease to acquire job information and task information; thus, it increases engagement levels in the organization, and it turns affects the continuance, normative and affective commitment positively. Good communication between the employees and their employers improves the working environment and reduced adverse job burnout, and this, therefore, increases the commitment levels shown by the individuals( Mathieu 1990). Avolio et al. (2004) argued that employers have a great impact on boosting the level of commitment of the employees. A motivated leader has great influence, and this makes him or her garner supporters and followers to have thoughts on their needs. It gives them the ability to express their needs, thoughts, and ideas, and this, therefore, increases the commitment level of employees to attain the desired outcome. The supporters of these leaders develop a greater feeling of motivation and affection and devotion towards the organization because they have developed a sense of belonging, and they know how essential they are to the respective organization (Spence et al. 2001). Another environmental factor that cannot go unnoticed is the safety climate. According to Dejoy et al. he debated on safety climate to have a significant impact on the enhancement of the level of commitment of the employees. It, therefore, ensures the provision of a safe and conducive working environment to the employees. Since the organization ensures employee safety a top priority, it then develops a sense of belonging and makes them feel important to the organization. therefore, increases commitment levels, and this makes it easier for the organization to attain the desired outcome hence sustainable production. Job satisfaction, in this case, has been attained. Job security often gives employees a sense of responsibility. It provides a sense of belonging, and they look out for better ideas that could help the company attain a forward trajectory in the current market. When one does secure a job, an individual is motivated and rejuvenated and works to ensure that they maintain and retain the place. It often results in increased performance evident from an increased level of commitment by the individual employee. For sustainable productivity, the level of commitment has been high, leading to the desired outcome, which is the dream of every company indulging in business during these tough economic times. The most important factor that every organization should uphold is human capital since lots of benefits, rather than harm, accompany it to remain relevant to the current market trends (Pang and Lu 2018). One way to ensure increased performance level in the organization is by investing their resources in human management and knowledge management, which provides most companies with a competitive edge and advantage against their competitors. Employee motivation and satisfaction contribute adversely to the commitment levels; therefore, the employees need to be recognized and rewarded for their excellent job. As a result, the performance level will surge due to the commitment levels portrayed by every employee within the organization. A high level of devotion and commitment benefits the company through improved performances, productivity is bettered by the labour, and better service and quality are also attained. Studies conducted to examine employee performance in an organization have instead opted to look at employee satisfaction to the performance of the organization and rather miss out on crucial information about the contribution of commitment levels shown by the employee for the organization or individual performance (Khalid et al. 2019).
Individual performance
It is measured in terms of contribution put down by the employee to ensure an attainable desired outcome. According to Yeh and Hong (2012) debates that the performance of an employee is shown on the quantity and quality of the job. In other words, it could be said that employee performance is the same as the productivity of the employee. Carson et al. give a description of compensation, training program, and reward and appraisal on performance as the best factors that enhance and ensures performance levels by the employee. They further argued that the primary purpose of human resource management in an organization is to ensure that these factors are made available to the individuals within the organization. Liwei and Erdong (2011) described the individual performance as being divided into two subsections. The first subsection deals with the outcome and results of the employee and their contribution, and the second subsection involve attitude shown performing a specific task. The individual performance comprises of activities conducted by an employee that seeks to realize the goals of the organization regardless of the activities being direct or indirect since any cause of action adopted stills affects the goals of the organization to be realized and achieved. Finding conducted by Motowidlo(2003) defined individual performance as the behaviour expectation set by the organization at the time an employee was conducting a specific task, what their ability is and what effort has been put to ensure the completion of the task mandated.
Research Gap
According to Wood(1999), Whitener (2001), and Stallworth (2003), there is a clear indication of a relationship between the satisfaction of the employee towards the organization and performance level. The recent studies are looking keenly on the unidirectional correlation that job satisfaction by an employee leads to improved performance. Still, there was also an establishment of a weak correlation exists when the commitment was put under analysis on job performance. The purpose of the study is to fill the gap by evaluating the employees’ contribution to a commitment to the performance of the organization, therefore, looks at possible ways to attain sustainable production, which has been a significant concern for most organizations.
Theoretical framework
For the case, the most appropriate framework will be the three theories as it was earlier talked about and helped us to understand in detail. Below is the framework put into practice
The figure above gives an illustration of the hypothesis that can be designed for the research. The independent variables and how they depend on the dependent variable and how they influence to achieve the desired outcome, which is the sole purpose for the organizational goals.
Summary
Organizations and institutions benefit from the employee’s commitment, which is evident with increased and improved performance evident in the production level. Reduced absenteeism cases are generally regarded as a limiting factor in production and often result in a less efficient organization that often is prompted to collapse. A high level of commitment shown by an employee to an organization gives a more secure and stable working force. It provides the company with a competitive edge and advantage against its competitors. Committed employees have often been found to be more innovative and creative. Thus, they aid an organization in coming up with a better solution or providing various approaches that can be enacted to ensure the desired outcome is within reach, making them less likely to opt-out of the organization than those who are less committed. For a sustainable level of productivity improvement, human capital and social capital have been regarded. Human capital, which entails the skills and knowledge, and attitude present in the employee, and social capital, entail trust, communication, confidence, and partnership present in an individual. Commitment levels are tested during turbulent and tough economic times; therefore, employees who opt to remain during such moments are committed. Every employee would want to form part and parcel of an organization that provides a good income with better incentives, adequate job security that has been constituted and covered under a contract. It also provides an opportunity for development which ensures they are covered at all cost and protected from external pressures that hinder development. Companies, therefore, have to adopt policies or provide incentives for committed employees to ensure sustainable production. Motivation, commitment, and involvement should be incorporated in every organization’s workforce to ensure that the desired outcome of the organization’s goals, ambitions, and purpose attains the demands of the current market trends. Commitment can also be shown through the regular attendance of work, protection of the company’s assets, and selling and sharing its goals and ambitions to the outsiders. Job security often gives employees a sense of responsibility. It provides a sense of belonging, and they look out for better ideas that could help the company attain a forward trajectory in the current market. When one does secure a job, an individual is motivated and rejuvenated and works to ensure that they maintain and retain the place. It often results in increased performance evident from an increased level of commitment by the individual employee. For sustainable productivity, the level of commitment has been high, leading to the desired outcome, which is the dream of every company indulging in business during these tough economic times. The most important factor that every organization should uphold is human capital since lots of benefits rather than harm accompany it to remain relevant to the current market trends. One way to ensure increased performance level in the organization is by investing their resources in human management and knowledge management, which provides most companies with a competitive edge and advantage against their competitors. Employee motivation and satisfaction contribute adversely to the commitment levels; therefore, the employees need to be recognized and rewarded for their excellent job. As a result, the performance level will surge due to the commitment levels portrayed by every employee within the organization. A high level of devotion and commitment benefits the company through improved performances, productivity is bettered by the labour, and better service and quality are also attained. Studies conducted to examine employee performance in an organization have instead opted to look at employee satisfaction to the performance of the organization and rather miss out on crucial information about the contribution of commitment levels shown by the employee for the organization or individual performance. Therefore it is essential organizations have a keen in-depth organizational commitment and adopt better policies that ensure everyone within the organization feels protected and works to attain the goals set by the organization.